‘Entitlement Programs’ Serve Elderly and Poor

By George E. Curry NNPA Columnist |
11/8/2013, 1:17 p.m.

Republicans have made it clear that their next budget goal is to slash so-called entitlement programs. Democrats have failed to explain to the public that the misnamed programs are valuable and prevent millions of Americans, many of them elderly or children, from living in poverty.

The Center on Budget and Policy Priorities (CBPP) issued a report last week that found: “Social Security benefits play a vital role in reducing poverty. Without Social Security, 22.2 million more Americans would be poor, according to the latest available Census data (for 2012). Although most of those whom Social Security keeps out of poverty are elderly, nearly a third are under age 65, including 1 million children. Depending on their design, reductions in Social Security benefits could significantly increase poverty, particularly among the elderly.”

The report explained, “Almost 90 percent of people aged 65 and older receive some of their family income from Social Security. Without Social Security benefits, 44.4 percent of elderly Americans would have incomes below the official poverty line, all else being equal; with Social Security benefits, only 9.1 percent do. These benefits lift 15.3 million elderly Americans — including 9.0 million women – above the poverty line.”

Medicare has proven equally as effective. Yet, Republicans like to pretend that the U.S. is quickly moving toward an entitlement society.

However, CBPP issued a report last year titled, “Contrary to ‘Entitlement Society’ Rhetoric, Over Nine-Tenths of Entitlement Benefits Go to Elderly, Disabled, or Working Households.”

It stated, “More than 90 percent of the benefit dollars that entitlement and other mandatory programs spend go to assist people who are elderly, seriously disabled, or members of working households — not to able-bodied, working-age Americans who choose not to work. This figure has changed little in the past few years.”

It stated, “The claim behind these critiques is clear: federal spending on entitlements and other mandatory programs through which individuals receive benefits is promoting laziness, creating a dependent class of Americans who are losing the desire to work and would rather collect government benefits than find a job.

“Such beliefs are starkly at odds with the basic facts regarding social programs, the analysis finds. Federal budget and Census data show that, in 2010, 91 percent of the benefit dollars from entitlement and other mandatory programs went to the elderly (people 65 and over), the seriously disabled, and members of working households. People who are neither elderly nor disabled — and do not live in a working household — received only 9 percent of the benefits.

“Moreover, the vast bulk of that 9 percent goes for medical care, unemployment insurance benefits (which individuals must have a significant work history to receive), Social Security survivor benefits for the children and spouses of deceased workers, and Social Security benefits for retirees between ages 62 and 64. Seven out of the 9 percentage points go for one of these four purposes.”

The research also shatters another myth, the idea that entitlement programs shift resources for the middle class to the poor.